Indian Tycoon Ravi Ruia Spends GBP 113 Million on a Luxury London Home - Hanover Lodge

London:

One of the greatest residential deals in London in recent years was Indian businessman Ravi Ruia buying a home from Russian real estate investor Andrey Goncharenko for £113 million ($145 million).

Former deputy CEO of Gazprom Invest Yug, a Russian state-owned energy business, Goncharenko held the property as recently as two years ago.

Hanover Lodge, a mansion at 150 Park Road overlooking Regent's Park, was acquired this month by the family office of Ruia, co-owner of the investment business Essar Group, according to a person familiar with the deal.

Former deputy CEO of Gazprom Invest Yug, a Russian state-owned energy business, Goncharenko held the property as recently as two years ago. He reportedly paid Rajkumar Bagri, a fellow Conservative Party member, £120 million in 2012 to buy the remaining leasehold interest in the property.

Property "is under construction and became available at a price which makes it an attractive investment for the family office," William Rego, spokesperson for the Ruia family office, said in an email statement.

When the deal was announced, it was in the Financial Times.

High interest rates discourage borrowing, thus those who can afford to do so often acquire the most costly homes in London. According to a research by broker Knight Frank, almost 17% of people with a net worth of $30 million or more acquired at least one home last year.

Despite the United Kingdom's effort to boost openness by introducing a registry for foreign organisations last year, the recent transaction shows that London's ultra-prime property market is still enveloped in obscurity. Sanctions on wealthy Russians have been implemented as a response to Russia's invasion of Ukraine, although Goncharenko is not one of the individuals targeted.

Luxury real estate continues to shift hands without full public disclosure, despite tougher restrictions requiring foreign firms to declare their beneficial owners or face penalties. According to Hamptons International, in the last three months of 2012, a record number of London homes were sold without ever appearing on the open market. This was most common among the priciest homes in the nation's capital. The Ruia family office sought Withers' advice before proceeding with the deal.